Alma Media Oyj · OMXHEX:ALMA

Alma Media Oyj — FY2003 Earnings Presentation

32 slides from Alma Media Oyj's earnings presentation, February 2004

  1. Slide 1: Alma Media January 1 – December 31, 2003

    Alma Media January 1 – December 31, 2003 Juho Lipsanen

  2. Slide 2: Alma Media Corporation

    Alma Media Corporation BROADCASTING ALPRESS - Net sales 178.1 MEUR - Net sales 200.2 MEUR - EBIT 5.9 MEUR - EBIT 30 MEUR - publishes over 30 newspapers - commercial television, 4.4 million - total circulation over 508 000 weekly viewers - 1.6 million daily readers - viewer share 40 % - commercial ra

  3. Slide 3: Markets

    ____ Jy _ Business Information Markets ALMA | MEDIA

  4. Slide 4: Media advertising in Finland 1993-2003

    Media advertising in Finland 1993-2003 MEUR 1200 1000 800 600 400 200 0 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 Newspapers Magazines TV Radio Internet Others Source: TNS Gallup Oy, Adex

  5. Slide 5: Radio, TV and newspaper advertising are increasing

    Radio, TV and newspaper advertising are increasing 25 % 20 % 15 % 10 % 5% 0% -5 % Newspapers Magazines -10 % TV Radio -15 % -20 % 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 Source: TNS Gallup Oy, Adex

  6. Slide 6: Most advertised branches 2003

    Most advertised branches 2003 Adv. volumes 2003 MEUR Retail trade 2,1 % Retail trade 248 Motor vehicles 13,9 % Motor vehicles 86 Food and beverages 4,5 % Food and beverages 85 Telecommunications 18,1 % Telecommunications 49 Entertainment 0,7 % Entertainment 44 Tourism and traffic 4,8 % Tourism and t

  7. Slide 7: Media Advertising Alma Media vs. Market

    Media Advertising Alma Media vs. Market Change, % Market Alma Media Market Alma Media Q403 Q403 2003 2003 Newspapers*) 4.6 2.9 4.4 5.1 Afternoon newspapers -2,5 -12.5**) -3,0 -8.8**) Business newspapers -14.6 -15.0 -15.8 -17.0 Magazines 1.5 - -0.3 - Television 4.0 0.8 3.0 -0.1 Radio 14.0 14.9 8.3 11

  8. Slide 8: Alma Media 2003

    ____ Jy _ Business Information Alma Media 2003 ALMA | MEDIA

  9. Slide 9: Net sales decreased 25 MEUR due to divestments

    Net sales decreased 25 MEUR due to divestments MEUR change % 500 7% + 17.8 % 400 8% - 45.4 % 62 % 300 + 0.6 % 200 100 23 % + 0.0 % 0 1997 1998 1999 2000 2001 2002 2003 Circulation sales Media sales Printing sales Others

  10. Slide 10: EBIT increased 12 % despite of Talentum write down

    EBIT increased 12 % despite of Talentum write down MEUR 50 45,4 12 % 40,7 40 10 % 9,9 % 31,6 8% 30 8,4 % 6,5 % 6% 20 15,6 15,8 17,7 4% 3,2 % 3,8 % 10 3,3 % 2% 0% 0 -2 % -10 -4 % -4,1 % -19,4 -20 -6 % 1997 1998 1999 2000 2001 2002 2003 EBIT EBIT% 2003 Talentum write down 16 MEUR

  11. Slide 11: EBIT w/o associated companies 1997 – 2003, MEUR

    EBIT w/o associated companies 1997 – 2003, MEUR 50 44,7 12 % 40,7 39,7 40 9,8 % 10 % 31,3 8,6 % 8% 30 8,4 % 25,1 6,4 % 6% 20 5,2 % 4% 11,1 2,3 % 2% 10 0% 0 -2 % -10 -3,3 % -4 % -20 -15,6 -6 % 1997 1998 1999 2000 2001 2002 2003 EBIT EBIT%

  12. Slide 12: Strong cash flow continued

    Strong cash flow continued MEUR 60 53,8 55,0 46,4 41,4 39,0 40 32,5 20,5 21,9 20 13,2 0 -4,0 -8,5 -20 -40 -60 -70,2 -80 1998 1999 2000 2001 2002 2003 Cash flow from operating activities Cash flow before financing activities

  13. Slide 13: Alpress Highlights

    Alpress Highlights ƒ Net sales 200.2 (201.3) MEUR ƒ Contract printing volumes decreased 4.3 MEUR ƒ Media sales up 3 MEUR ƒ Circulation income at 2002 level ƒ EBIT from 27 MEUR to 30 MEUR Advertising of motor vehicles, retail trade and elections ƒ All business units excluding Iltalehti improved profi

  14. Slide 14: Broadcasting Highlights

    Broadcasting Highlights ƒ MTV channels (MTV3 and Subtv) increased viewing share to 46.3 (44.3) %, 10-44 yrs prime time ƒ MTV3 viewing increased by 3 min to 66 min and Subtv 1 min to 3 min ƒ Total television viewing increased 2 min to 2h 53 min ƒ Net sales 178.1 (177.6) MEUR 48 ƒ Broadcasting adverti

  15. Slide 15: BIG Highlights

    BIG Highlights ƒ B-to-B advertising market down –15 % ƒ Net sales 46.4 (43.2) MEUR ƒ Circulation sales –1.9 % ƒ Lehdentekijät sales 6.7 MEUR ƒ Positive development in BNS and Balance Consulting Kauppalehti product family 0 2 4 6 8 10 12 14 16 18 20 ƒ EBIT 4.2 (2.4) MEUR Kauppalehti -17 % ƒ Talentum

  16. Slide 16: Media Services Highlights

    Media Services Highlights ƒ M&A 2003 ƒ Acta Print merger July 1, 2003 ƒ Hyvinkää divestment Dec. 31, 2003 ƒ Mascus acquisition Dec. 31, 2003 ƒ Printing EBIT –5.6 (-1.2) MEUR Mascus is leading online market place for used machinery ƒ -1.6 MEUR Alprint H1 300 000 ƒ -3.4 MEUR Acta Print impact H2 250 0

  17. Slide 17: Financials

    _\y Business Information Tratslaletslis ALMA | MEDIA

  18. Slide 18: Net sales by quarter, MEUR

    80 90 100 110 120 130 119,7 140 119,6 Q1 117,0 120,3 123,8 2000 125,6 Q2 128,3 Net sales by quarter, MEUR 125,6 2001 106,3 108,0 2002 Q3 110,7 96,3 2003 134,5 125,1 Q4 129,9 118,3

  19. Slide 19: Net Sales 2002 vs. 2003 by division, MEUR

    Net Sales 2002 vs. 2003 by division, MEUR 250 201,3 200,2 177,6 178,1 200 150 100 73,9 48,4 46,4 43,2 50 0 Alpress Broadcasting BIG Media Services 2002 2003

  20. Slide 20: EBIT by quarter, MEUR

    EBIT by quarter, MEUR 12,7 15 10,3 9,9 9,1 8,4 10 6,1 4,3 4,0 3,3 5 -0,1 0 -1,5 -3,4 -5 -4,4 -5,9 -7,6 -10 -15 -16,1 -20 Q1 Q2 Q3 Q4 2000 2001 2002 2003

  21. Slide 21: EBIT 2002 vs. 2003 by division, MEUR

    EBIT 2002 vs. 2003 by division, MEUR 40 30,0 30 27,2 20 10 5,9 4,2 2,4 0 -2,2 -5,6 -4,5 -10 -7,2 -20 -16,7 Alpress Broadcasting Media Services BIG Others EBIT 2002 EBIT 2003

  22. Slide 22: EBIT Q101–Q403, MEUR

    EBIT Q101– Q403, MEUR 20 8% 12,7 7% 15 6% 10,1 10,3 9,1 5% 6% 10 4 %4 % 3 %6,1 5 3,3 2% 1% 1% -0,1 0 0% 0% -5 -3,4 -2 % -2 % -5,9 -3 % -3 % -4,4 -10 -7,6 -4 % -4 % -15 -6 % -20 -16,1 -8 % Q101 Q201 Q301 Q401 Q102 Q202 Q302 Q402 Q103 Q203 Q303 Q403 EBIT, MEUR Rolling 4Q % of Net Sales

  23. Slide 23: Associated companies, share of profits/losses

    Associated companies, share of profits/losses (Talentum, TV4 AB, Acta Print, Sports Channel, etc.) MEUR 5 2,5 0 -0,7 -1 -0,7 -5 -2,3 -3,3 -2,4 -1,7 -2,1 -3,1 -2,9 Loss from Talentum -10 share transaction -15 -20 -17,4 Q101 Q201 Q301 Q401 Q102 Q202 Q302 Q402 Q103 Q203 Q303 Q403 MEUR Rolling Q4, MEUR

  24. Slide 24: Major Strategic Publicly Listed Share Holdings

    Major Strategic Publicly Listed Share Holdings MEUR Talentum TV4 Total Acquisition Price 60 90 150 Book Value 31.12.2003 33 72 105 Market Value 31.12.2003 34 75 109

  25. Slide 25: Equity ratio and gearing

    Equity ratio and gearing 60 120 112,3 48,7 49,0 50 100 41,3 81,2 40 37,0 80 30 60 52,1 50,7 20 40 10 20 0 0 2000 2001 2002 2003 2000 2001 2002 2003 Equity ratio % Gearing %

  26. Slide 26: Return on Equity and Return on Investment

    Return on Equity and Return on Investment 10 10 6,9 6,3 5,3 4,9 5 3,6 5 2,0 0 0 2000 2001 2002 2003 2000 2001 2002 2003 -5 -5 -5,1 -10 -10 -12,0 -15 -15 Return on Equity Return on Investment

  27. Slide 27: Dividend per share 1998 – 2002, proposal 2003

    Dividend per share 1998 – 2002, proposal 2003 3,00 2,50 2,50 2,00 1,50 1,00 Euro 0,67 0,67 0,50 0,42 0,20 0,25 0,00 -0,50 -1,00 -1,50 1998 1999 2000 2001 2002 2003 Dividend per share Earnings per share Total 15,73 million shares

  28. Slide 28: Alma Media Share Series II in 2003

    Alma Media Share Series II in 2003 (Turnover, Price Development) 600 35 500 30 Thousands of shares traded 25 400 20 Euro 300 15 200 10 100 5 0 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec # of shares traded High Low Closing

  29. Slide 29: Increasing liquidity of Alma Media shares

    Increasing liquidity of Alma Media shares ƒ Liquidity provider contract concerning Series II shares signed in January 2004 ƒ Alma Media was the first company on the Main List of the Helsinki Stock Exchange to have this type of contract ƒ Proposals for AGM ƒ Voluntary conversion of Series I shares to

  30. Slide 30: Outlook 2004

    ____ Jy _ Business Information Outlook 2004 ALMA | MEDIA

  31. Slide 31: Outlook 2004

    Outlook 2004 ƒ Strengthening market conditions towards year end ƒ H1 flat+ media advertising market ƒ Moderate growth in Alma Media´s net sales ƒ Profitability improvement continues in 2004 ƒ positive trend continues in Alpress ƒ improvement in Broadcasting´s profitability ƒ in BIG profit improves i

  32. Slide 32: Welcome to Alma Media Capital Markets Day May 27th, 2004!

    Welcome to Alma Media Capital Markets Day May 27th, 2004!

Alma Media — FY2003 Earnings Presentation on 6ix